Scaling Solutions like Mimblewimble and Confidential Transactions likely from Litecoin

EOS was holding the 4th position in the line from Bitcoin, Ripple, and Ethereum ever since 2018. This Litecoin has surpassed EOS.

The open source developer
community of Litecoin has come at a point in time when the developer community
is progressing towards its goal of implementing scaling and privacy solutions
like Mimblewimble and Confidential Transactions. Of note, both of these scaling solutions were
initially developed for the Bitcoin Blockchain Network in the July 2016.

Since Bitcoin and
Litecoin are similar to each other, it was possible for Litecoin developers to
experiment on the scaling solutions in just a short period of time. The Confidential Transactions is expected to
be implemented by the end of 2019.

Charlie Lee stated in the
past month that the Litecoin Community is dedicated in order to complete the
Confidential Transactions.

The major property that
is missing from Bitcoin and Litecoin is Fungibility. By adding Confidential Transactions, Charlie
Lee believes that Litecoin will be more fungible. He further tweeted that with
the scaling debate being on, further battles will be related to fungibility and
privacy.

The development team of
Litecoin discussed for several hours about how to add confidential
transactions. The method of a Softfork
is a lot similar to extension block, and extension blk, which can be more
straightforward and a lot more can be done with it.

Mimblewimble and confidential
transactions are mostly focused on privacy, and thus they make it possible for
users to send and receive payments without having to reveal their identities. The transactions are processed with very
little data to protect the identities of the users and their identities.

The plans of finalizing
Confidential Transactions and its implementation by the end of this year has
been announced, and the community is already beginning to work on the
Mimblewimble.

Litecoin expressed their current stand in the
Column by stating, “We have started our exploration towards adding privacy and
fungibility to Litecoin by allowing on-chain conversion of regular LTC into a
Mimblewimble variant of LTC and vice versa; upon such conversion, it will be
possible to transact with Mimblewimble LTC in complete confidentiality.” The column further added, “It is our joint
intention to publish any, and all work was done as part of the project under
permissive open source license to let the community benefit from it.”

About The Author

A finance graduate, Maheen Hernandez has been drawn to cryptocurrencies ever since Bitcoin first emerged in 2009. Nearly a decade later, Maheen is actively working to spread awareness about cryptocurrencies as well as their impact on the traditional currencies.